As of last week, we introduced a new theme to the blog, Non-Fungible Tokens (NFTs as most of us know them), and if you haven’t read it yet, I recommend you give it a quick read before carrying on with today’s article to fill in the gaps in context. As a reminder for everyone to make sure we are all on the same page, these blockchain based tokens are unique and can be created and bought by anyone with Ethereum cryptocurrency, an interesting concept which really took off this year.
Today, we will be looking at some of the other ways that NFTs may integrate themselves into our daily routines, specifically, those of you who have a presence in Paraguay, both as a citizen, and also a potential investor within the country.
Art
Earlier this year, Paraguay became the first country in Latin America to auction an NFT. Now, for those of you situated outside the region, this may not seem like big news, however, this is actually quite a big deal. This is because, for Paraguay at a local level, it is paving the way for innovation in the NFT market in the near future, and at a wider regional level, meant Paraguay was highlighted as a leader in cryptoart, making it a more attractive investment opportunity. The piece auctioned off is called ‘Sueño del Armadillo’, and was designed by an Italian artist, but it is the uniqueness of the NFT alongside the novelty of an auction like this which created a lot of positive publicity and will hopefully create an environment of positivity which the nation can use to build the profile of NFTs.
Automotive Industry
You’re going to have to hear me out on this one, because obviously we can’t drive an NFT, however, by purchasing a Nissan Kicks XPlay in Paraguay, part of the deal is a unique NFT. This is very exciting as it shows the platform built by digital art in the Latin American nation is slowly spreading into other industries, and the marketing strategy used by Nissan shows us all the wide scope for development with NFTs in the future. This also links with the collectable nature of NFTs as well as the integrity of purchases being able to be proved due to credentials being logged on the blockchain, serving as something fun for the customer to collect but also for them to be able to ratify the validity of their purchase (should this ever be needed) and provide them with information about their vehicle.
DeFi (Decentralised Finance)
The final example we have for today is not directly based out of Paraguay, but hypothetically speaking, could be a big hit in Latin America in the near future. With Bitcoin (BTC) being very close to being legalised in Paraguay, the move towards decentralised currencies and alternative payments is obviously taking off and using NFTs in finance for loans in the form of guarantees in smart contracts could be an efficient replacement for the usual method of going through banks.
So, if you are interested in finding out more, contact us today! Below this article you will find a link to set up a free fifteen-minute consultation with us to discuss your options further. At Creimerman, our team of professional global citizens would be happy to help you with your personal or professional cross-border ventures and help make them a success.